Continued Strong Liquidity, Improved Licensing Revenues Through First Half of Year
Corsicana, Texas--(Newsfile Corp. - August 17, 2023) - Midwest Energy Emissions Corp. (TSXV: MEEC) (OTCQB: MEEC) ("ME2C Environmental "or the "Company"), a leading environmental technology firm, has reported financial results for the second quarter ended June 30, 2023.
Financial Highlights
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Cash of $1.9 million on hand at June 30, 2023, and working capital of $1.7 million
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Q2 total revenues of $4.1 million
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Q2 Adjusted EBITDA positive $251,000
Management Commentary
Richard MacPherson, Chief Executive Officer of ME2C Environmental, commented, "Our solid base of supply customers, including several significant utilities, has maintained a stable revenue base in what is historically our company's lowest revenue quarter due to lesser coal demands and plant shutdowns scheduled annually each Spring. The increase in licensing revenues of our core technology for the six months ended June 30, 2023, have offset the lower product supply revenues that much of our industry felt this Spring. Technology licensing revenue increased by 165% or $386,000 for the six months ended June 30, 2023, compared to the prior year period."
"Moving into the last half of the year, we expect to add additional technology licensees and potential supply customers to our strong customer base due to our continued IP efforts leading to trial this fall," continued MacPherson. "The coal-fired power market remains stable in the U.S., and we expect that our product supply revenues will continue to increase during the last half of this year."
"During this second quarter of 2023, we have focused on expanding growth opportunities in new markets, emerging technologies under development, and growing our outreach across the Canadian market in support of our Company's common shares now trading on the TSX Venture Exchange. We are pleased in our current position midway into this year and look forward to providing updates to the market addressing these growth opportunities in the near term," concluded MacPherson.
About ME2C® Environmental
ME2C Environmental is a leading environmental technologies company developing and delivering patented and proprietary solutions to the global power industry. ME2C's leading-edge mercury emissions technologies and services have been shown to achieve emissions removal at a significantly lower cost and with less operational impact than currently used methods, while maintaining and/or increasing power plant output and preserving the marketability of byproducts for beneficial use. ME2C Environmental is a trade name of Midwest Energy Emissions Corp. For more information, please visit http://www.me2cenvironmental.com/.
Use of Non-GAAP Financial Measures
To provide investors with additional information regarding our financial results, this press release includes references to Adjusted EBITDA, a Non-GAAP financial measure. We view Adjusted EBITDA as an operating performance measure and, as such, we believe that the GAAP financial measure most directly comparable to it is net income (loss). We define Adjusted EBITDA as net income adjusted for interest and financing fees, income taxes, depreciation, amortization, stock-based compensation, and other non-cash income and expenses. We believe that Adjusted EBITDA provides us an important measure of operating performance. Our use of Adjusted EBITDA has limitations as an analytical tool, and this measure should not be considered in isolation or as a substitute for an analysis of our results as reported under GAAP, as the excluded items may have significant effects on our operating results and financial condition. Additionally, our measure of Adjusted EBITDA may differ from other companies' measure of Adjusted EBITDA. When evaluating our performance, Adjusted EBITDA should be considered with other financial performance measures, including various cash flow metrics, net income, and other GAAP results. In the future, we may disclose different non-GAAP financial measures in order to help our investors and others more meaningfully evaluate and compare our future results of operations to our previously reported results of operations.
Safe Harbor Statement
With the exception of historical information contained in this press release, content herein may contain "forward-looking statements" that are made pursuant to the Safe Harbor Provisions of the U.S. Private Securities Litigation Reform Act of 1995 or forward-looking information under applicable Canadian securities laws (collectively, "forward-looking statements"). Forward-looking statements are generally identified by using words such as "anticipate," "believe," "plan," "expect," "intend," "will," and similar expressions, but these words are not the exclusive means of identifying forward-looking statements. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Investors are cautioned that forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from the statements made. Matters that may cause actual results to differ materially from those in the forward-looking statements include, among other factors, the ability to satisfy the conditions to listing on the TSX-V; the loss of major customers; dependence on availability and retention of key suppliers; changes, or lack of changes, in environmental regulations; risks related to advancements in technologies; lack of diversification in the Company's business; risks related to intellectual property, including the ability to protect intellectual property and the success of the ongoing patent litigation; competition risks; changes in demand for coal as a fuel source for electricity production; ability to retain key personnel; absence of a liquid public market for our common stock; share price volatility; and, the potential that dividends may never be declared. In addition, this release contains time-sensitive information that reflects management's best analysis only as of the date of this release. ME2C Environmental does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release. Further information concerning issues that could materially affect financial performance or other forward-looking statements contained in this release can be found in ME2C Environmental's periodic filings with the Securities and Exchange Commission or Canadian securities regulators.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
ME2C Environmental Contact:
Stacey Hyatt
Corporate Communications
ME2C Environmental
Main: 614-505-6115 x-1001
Direct: 404-226-4217
[email protected]
Investor Relations Contact:
Jessica Butt
IR Representative
Adelaide Capital
Direct: 416-844-6202
[email protected]
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/177531